KUALA LUMPUR: ITMax System Bhd's 65 per cent-owned subsidiary Southmax Sdn Bhd has accepted an appointment by Iskandar Puteri City Council (MBIP) to be the smart parking operator of 32,025 street parking bays.
The appointment will be for 15 years commencing June 1, 2024 to May 31, 2039.
Revenue from the operations will be split 70:30 between Southmax and MBIP, said the group in a filing to Bursa Malaysia.
Revenue sharing at the rate of 70 per cent (Southmax) and 30 per cent (MBIP) based on cash reloads will be made by the public via the Parkmax@Johor application.
Southmax will pay MBIP 30 per cent out of the total collection for the use of parking spaces everyday by hours, daily, monthly pass, seasonal pass and temporary lot rental, as well as 30 per cent from the collection of parking compounds to MBIP.
ITMax is primarily involved in the business of supply, installation, and provision of public space networked systems.
Managing director and chief executive officer William Tan Wei Lun said the contract marks a significant milestone for ITMax, representing a breakthrough from its current service offerings within its core business of smart city management.
A strategic synergy exists between ITMax's smart parking system and its video surveillance system.
"We will further enhance the system and application with artificial intelligence to boost the efficiency of parking operations.
"With the completion of our proof-of-concept stage, we are happy to introduce the Parkmax@Johor application which is designed to be user-friendly and intuitive for effortless use."
"The revenue generated from the smart parking system will provide additional recurring income for the Group. We see a significant opportunity and are confident to expand this service to other cities," he said in a statement.